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Hexion Specialty Chemicals to Raise Prices for Coating Resins

March 30, 2006 at 4:27 PM EST

COLUMBUS, Ohio--(BUSINESS WIRE)--March 30, 2006--Hexion Specialty Chemicals announced today it will
increase the off-list price of all solvent based and waterborne
Coating Resins in North America effective for all shipments on April
29 or as contracts allow.

Prices of all alkyd, polyester, acrylic, urethane, water reducible and waterborne
resins sold into the paint and coatings markets will increase by $0.03 - $0.05/lb.
depending on the product line. Hexion will also be increasing the price of dry
defoamers sold into the North American construction markets by $0.05/lb. Customers
will be contacted by their Sales Representatives with specific details.

"This increase is necessitated by the continued escalation of all
costs related to the manufacture and delivery of these products," said
Mark C. Walter, Business Manager, Coating Resins-Americas. "Our
ongoing efforts to improve operational efficiency across this business
have been significant and yielded solid results, but we can no longer
rely solely on internal initiatives to combat these escalating costs
and sustain a level of profitability necessary to support
reinvestment. Hexion is committed to continuing our efforts to control
costs while providing the necessary technology and business solutions
to our customers."

Forward Looking Statements

Statements contained in this press release may include
"forward-looking statements" about the Company's financial results
under the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Act of 1934, as amended.
Forward-looking statements are based on our currently available
financial, economic and competitive data and on business plans. Actual
results could vary materially depending on risks and uncertainties
that may affect the company's operations, markets, services, prices
and other factors as discussed in our filings with the Securities and
Exchange Commission. These risks and uncertainties include, but are
not limited to, economic, competitive, legal, governmental and
technological factors. There is no assurance that the company's
expectations will be realized. We undertake no obligation to publicly
update or review any forward-looking statement, whether as a result of
new information, future developments or otherwise, except as otherwise
required by law.

About Hexion Specialty Chemicals

Based in Columbus, Ohio, Hexion Specialty Chemicals combines the
former Borden Chemical, Bakelite, Resolution Performance Products and
Resolution Specialty Materials companies into the global leader in
thermoset resins. Hexion serves the global wood and industrial markets
through a broad range of thermoset technologies, specialty products
and technical support for customers in a diverse range of applications
and industries. Hexion Specialty Chemicals is owned by an affiliate of
Apollo Management, L.P. Additional information is available at
www.hexionchem.com.